Crunch time for credit rules - FSF

Lyn McMorran, FSF

As the Government sifts through submissions on the Credit Contracts and Consumer Finance Amendment Bill (CCCFA) and Financial Markets Conduct Amendment Bill, the Financial Services Federation (FSF) has five key points it wants considered.

It will be appearing at Parliament’s Finance and Expenditure Committee on Monday and says as its members represent 49% of personal consumer loans in New Zealand – from non-bank mortgage lenders, credit unions, vehicle finance and asset leasing providers – it is crunch time for the country’s consumer credit rules.

“Past reviews and reforms have missed the mark, adding costs and complexity without delivering better outcomes for borrowers,” Lyn McMorran, FSF executive director says.

Despite clear warnings from the sector, she says the last round of reforms would create unnecessary barriers to accessing credit, changes ploughed ahead anyway.